(Bloomberg) — Stocks that stand to benefit the most from an economic rebound rallied after solid data spurred a decline in pandemic darlings such as technology companies. Treasuries retreated.

Industrial, financial and commodity shares led gains in the S&P 500. The Russell 2000 of small caps outperformed major equity benchmarks, while the tech-heavy Nasdaq 100 dropped. A news report that President Joe Biden will unveil a budget that would see federal spending jump to $6 trillion in the coming fiscal year also helped sentiment. In late trading, Salesforce.com Inc., the top maker of cloud-based customer relations software, jumped on a strong profit forecast.

Equities headed toward their fourth straight monthly rally as prospects for an economic rebound tempered inflation worries. Treasury Secretary Janet Yellen said she sees the burst in prices as temporary, though likely to last through the end of 2021. Data showed jobless claims dropped to a fresh pandemic low, while orders for business equipment climbed more than forecast. Pending home sales fell, but analysts highlighted underlying buyer interest that could translate into a pickup in contract signings.

“We’re seeing that kind of economic data underscore what we keep calling the recovery trade — a move back into cyclical and defensive stocks, companies that are poised to do better with a reopening of the economy,” said Greg Bassuk, chief executive officer at AXS Investments. “Value has a much stronger path for gains going forward.”

Some corporate highlights:

Reddit favorite AMC Entertainment Holdings Inc. hit a record $13 billion in market value.Boeing Co. climbed as Airbus SE’s ambitious output goal spurred optimism for a recovery in global aviation.Nvidia Corp. gave a bullish estimate on demand for chips used in gaming PCs, data centers and cryptocurrency mining.

The Russell 2000 has lost ground to the Nasdaq 100 this quarter, but it has valuation on its side. The forward price-earnings spread between the small-cap and tech-heavy gauges has narrowed to below the five-year average. And while the Russell 2000 value/growth ratio has ebbed in the latter half of May, the relative strength of value suggests that small-cap stocks can continue to be big beneficiaries of the reopening recovery.

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For more market commentary, see the MLIV blog.

These are some of the main moves in markets:

Stocks

The S&P 500 rose 0.1% as of 4 p.m. New York timeThe Nasdaq 100 fell 0.3%The Dow Jones Industrial Average rose 0.4%The Russell 2000 Index rose 1.1%

Currencies

The Bloomberg Dollar Spot Index was little changedThe euro was little changed at $1.2198The British pound rose 0.6% to $1.4203The Japanese yen fell 0.6% to 109.79 per dollar

Bonds

The yield on 10-year Treasuries rose three basis points to 1.60%Germany’s 10-year yield advanced three basis points to -0.17%Britain’s 10-year yield advanced six basis points to 0.81%

Commodities

West Texas Intermediate crude rose 0.9% to $67 a barrelGold futures fell 0.2% to $1,901 an ounce

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